Shares of IREDA (Indian Renewable Energy Development Agency) saw a drop of over 3% following the announcement of its Q3 FY25 financial result.
IREDA shares opened at ₹218.00, reaching a high of ₹222.86 and a low of ₹209.00 during the trading session. Over the past 52 weeks, the stock has seen a high of ₹310.00 and a low of ₹101.20.
While the state-run renewable energy financier demonstrated a solid 39% year-on-year increase in NII, amounting to ₹622.25 crore, and a 27% rise in net profit, reaching ₹425.4 crore, the company’s asset quality saw a significant decline.
Gross Non-Performing Assets (NPAs) surged by 30.4% quarter-on-quarter to ₹1,845.5 crore, while net NPAs increased even more sharply, rising by 53.75% to ₹1,024 crore. As a result, the gross NPA ratio jumped to 2.68%, up from 2.19% in the previous quarter, and the net NPA ratio rose to 1.5%, up from 1.04%.
Furthermore, the Provision Coverage Ratio fell to 44.5%, down from 52.9% in the prior quarter, signaling increasing risk. In response to the worsening asset quality, IREDA significantly increased its provisions, tripling them sequentially to ₹104 crore.
As of 9:33 AM, IREDA shares were trading 3.15% lower at Rs 209.00.
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